Archive for gold brokers

The gold price on Wednesday, continued to push towards the all time high for the gold, briefly touching the $1022 per ounce level before ending the gold trading session marginally lower, but with a wide spread up bar which reinforced Tuesday’s bullish sentiment in the gold market. With all three moving averages pointing firmly higher, we could see a new high for the price of gold in the next few days, should this bullish sentiment remain firm, which seems to be the case at present following the dramatic breakout of two weeks ago. However, today’s trading has seen a minor pullback, with the the gold price ending lower, but with a weak candle on the daily gold chart, particularly given the deep upper wick. Although this candle is bearish, the spread is relatively limited, and therefore the reversal lower may only be a temporary pullback before we see the price of gold surge higher once again. With the weekend ahead, gold traders will be squaring their positions, and therefore Friday may see a fall in the gold price as a result, before we see a return to the bullish momentum once again of the last few days.

Yesterday’s gold trading price continued the bullish momentum for spot gold ending the trading session with an up candle but with a deep lower wick suggesting that we should see a stronger move higher in gold prices in the gold term. Indeed this view is reinforced by several candles over the last few days on the daily gold chart which have all ended the trading session with deep lower wicks which have subsequently found support from the 9 and 14 day moving averages, which is always a positive sign that the bullish trend will be sustained. With the daily close of yesterday finishing well above the $1000 per ounce level we are now in a strong position to see gold prices push higher from this solid platform and break well into the $1000 plus region in the medium term. This trend high is fully supported by all three moving averages which are pointing sharply higher.

Another interesting day for gold traders yesterday, with spot gold prices once again flirting at the $1000 per ounce level, initially opening gapped up above this price point, but finally ending the gold trading session marginally below. From a technical perspective yesterday’s candle ended with a narrow spread down bar but with a relatively deep lower wick which found support from the 9 day moving average in much the same way as for Thursday’s candle last week, suggesting that the bullish momentum remains intact for the time being despite what the pessimists (and UBS) are suggesting. This bullish momentum has been given added impetus by news that central banks are set to become net buyers of gold this year for the first time since 1998. With all three moving averages pointing sharply higher and with the technical support outlined above we should see spot gold prices breach and hold the 4 figure level in due course before moving higher in the medium term and my trading suggestion for today is to look for small long positions on an intra day basis buying on any dips and particularly where the price touches the 9 day moving average.

A strong week for spot gold prices, with the gold market flirting at the $1000 per ounce level once again, and of course all gold traders and market analysts are now asking themselves whether we are likely to see a failure at this price level once again. Thursday’s candle on the daily gold chart certainly hinted at some weakness, ending the gold trading session with a bearish shooting star, which was confirmed on Friday, with the spot gold market closing lower and marginally below the $1000 per ounce price once again, but with a deep lower wick to the body of the candle, suggesting that the gold bulls stepped in to buy late in the trading session. Technically gold prices still look strong, with all three moving averages pointing sharply higher, but the previous failed attempts at this level may prove critical should we fail to see any break and hold above this psychological level. Next week may well prove to be a defining one for the gold market, which may react to any change in investor sentiment towards the US dollar, with many market analysts and forex market commentators suggesting that the US dollar is currently oversold and therefore due for a market correction and sharp reversal higher. Should this occur in the short term then this may well trigger a sell off in the commodity markets which could in turn result in a fall in spot gold prices as a result. However, as always, gold may well benefit from it’s status as a precious metal, and therefore any correlation with the broader commodity markets is not a given, should the US dollar rally as expected in the short term.

Another strong day for spot gold prices yesterday which surged higher once again and broke through the psychological $1000 level which arrived sooner than even I expected. Technically yesterday’s candle has a degree of weakness signified by the deep upper wick and whilst this is someway short of a “shooting star” it does perhaps suggest that we are currently seeing the bulls taking some profits off the table whilst the market pauses before deciding to push higher once again. With all three moving averages pointing sharply higher and with the breakout from the recent pennant now firmly established, we should see a continuation of the strong upwards trend over the next few weeks. What is interesting, however, for spot gold prices is that they the recent rise is disproportionate to the corresponding US dollar weakness which although still bearish has certainly not collapsed as would be suggested by the recent rise in gold prices. My trading suggestion for today is to look for small long positions buying on any pullback and particularly once we see a breach and hold above the $1000 per ounce.